Japan's household spending in June up 1.3 pct on year

TOKYO, Aug. 8 (Xinhua) -- Japan's household spending in June increased a real 1.3 percent from a year earlier, rising for the second straight month, driven by spending on automobiles and electricity bills, government data showed on Friday.

Households of two or more people spent an average of 295,419 yen (about 2,006 U.S. dollars) in the reporting month, according to the Ministry of Internal Affairs and Communications.

By category, outlays for transportation and communication rose 8.6 percent, while expenditures on energy and water climbed 6.3 percent, due in part to increased use of air conditioners during the summer heat, the ministry said.

Spending on food, meanwhile, dropped 2.1 percent, down for the first time in three months, led by a 12.1 percent decline in rice spending as people bought less or chose cheaper grain after releases from government stockpiles earlier this year.

Accounting for more than half of Japan's gross domestic product, household spending is a key gauge of private consumption in the country. ■